In Michigan, can Best Western enforce a provision prohibiting a franchisee from joining an association of franchisees?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
THE STATE OF MICHIGAN PROHIBITS CERTAIN UNFAIR PROVISIONS THAT ARE SOMETIMES IN FRANCHISE DOCUMENTS. IF ANY OF THE FOLLOWING PROVISIONS ARE IN THESE FRANCHISE DOCUMENTS, THE PROVISIONS ARE VOID AND CANNOT BE ENFORCED AGAINST YOU.
- (a) A prohibition on the right of a franchisee to join an association of franchisees.
Source: Item 23 — Receipts (FDD pages 108–413)
What This Means (2025 FDD)
According to Best Western's 2025 Franchise Disclosure Document, a provision prohibiting a franchisee from joining an association of franchisees is void and cannot be enforced against franchisees in Michigan. This protection is explicitly stated in the addendum to the franchise disclosure document, which addresses specific provisions that Michigan law prohibits.
This means that if the Best Western franchise agreement contains language that restricts a franchisee's right to join an association of franchisees, that specific provision is unenforceable in Michigan. The Michigan Franchise Investment Law aims to protect franchisees by preventing franchisors from enforcing unfair or overreaching contractual terms.
For a prospective Best Western franchisee in Michigan, this is a beneficial safeguard. It ensures the franchisee can freely associate with other franchisees to share information, negotiate collectively, and advocate for their interests without fear of legal repercussions from Best Western. This protection helps to balance the power dynamic between the franchisor and franchisee, promoting a more equitable relationship.